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Cryptocurrency trading volumes decreased significantly in June according to data from Cryptocompare, a price and volume tracking organization. Volumes traded diminished by at least 40% month-on-month, with spot and derivatives trading both suffering due to the mining and trading crackdown in China, amongst other factors. The resulting volatility seems to have made many traders lose interest.<\/strong><\/p>\n Cryptocurrency trading volumes experienced a sharp decline in June, according to data from Cryptocompare. The data collected by the price and volume tracking organization shows that trading, in general, experienced a slump of at least 40%. Spot volumes suffered the most, with users trading 42.7% less compared to volumes in May. In total, $2.7 trillion was traded last month.<\/p>\n Derivatives trading also suffered a sharp decline. Trading fell 40.7% month-on-month to $3.2 trillion. Analysts state this decline has to do with one key reason: the mining and cryptocurrency trading crackdown<\/a> that happened in China last month. This caused crypto traders to be wary of the future of the market and precipitated the plunge in volume. Cryptocompare stated:<\/p>\n Headwinds continued as China persisted with its crackdown on bitcoin mining. As a result of both lower prices and volatility, spot volumes decreased.<\/p>\n<\/blockquote>\n <\/ins> <\/ins> <\/p>\n Consequently, internet traffic to exchanges also fell<\/a> drastically. Exchanges got 369.1 million visits in June, a drop of 42.2% month-on-month, according to research from The Block. While Binance experienced a sharper trading volume drop of 56%, it managed to retain the top position in spot trading volumes.<\/p>\n There might be other reasons why customers are avoiding Binance right now. Multiple organizations<\/a> have been blocking<\/a> payments to the exchange since last week. Also, the exchange has faced opposition for not complying with local laws in several<\/a> countries<\/a> since last month.<\/p>\n But perhaps the most likely catalyst for this fall is the decline in bitcoin prices affecting the cryptocurrency market. Bitcoin touched $60K+ in April, and it now trades in the $30K-$35K stripe. This has discouraged swing traders and chilled the cryptocurrency craze that was in full effect earlier this year.<\/p>\n Some analysts believe this decline will continue in the near future. Scott Minerd, CIO of Guggenheim Partners, stated<\/a> that bitcoin\u2019s \u201creal bottom\u201d might be around $10K last week. At the time of writing, bitcoin is trading just under $33K.<\/p>\nTrade Volumes Kept Falling in June<\/h2>\n
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Internet Traffic to Exchanges Also Fell<\/h2>\n